Making money off mates

Is it reasonable to complain about the price of housing, and then have your mates as flatmates to help pay the mortgage? If you’re in a fortunate enough position to buy a house, should those in a (presumably) less well-off financial position pay the price (literally) for you to continue to improve your position?

Of course, the better question is: What’s the alternative?

Probably, co-ownership. You have $100k deposit. Buy a house work (say) $500k. Split the mortgage 50/50 with a friend ($200k each). Reduce your term and pay down the mortgage. Airbnb, work from home, maybe even some short-term flatmates. Then buy a second place, and call it quits.

Sure, you’re a little bit worse off (financially). But the world’s a bit better overall.

Change doesn't happen at a distance

It should come as no surprise to anyone that doing ethical property development requires a transfer of wealth.

The status quo inherently disadvantages those who have less. So the ability to do make an impact is limited by the amount of value that is available. If a bunch of us get together with sticks, we're not going to build a brick house. Someone with a large brick house is going to have to tear down their second (or third, or fourth) home to give us some bricks.

When there's a fixed amount of something, those with lots have to give up at least a little in order to achieve genuine equity.

It turns out, do do things differently requires all of us. Change doesn't happen at a distance.